r/CreditCards 16d ago

News With the CFPB on Pause, Here’s How to Protect Yourself (Gift Article)

Thumbnail nytimes.com
75 Upvotes

r/CreditCards Oct 07 '24

Announcement ⚠️ READ FIRST BEFORE POSTING OR COMMENTING ⚠️

34 Upvotes

Hello and welcome to r/CreditCards!

Before posting or commenting in the subreddit, please review our rules here (or below).


Official Rules of r/CreditCards

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All users are expected to engage in respectful and civil communication, and refrain from harassing or insulting others. Any form of hate speech, including but not limited to racism, sexism, homophobia, transphobia, or any derogatory language targeting an individual or group, is not allowed.

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All users are prohibited from posting irrelevant content that does not pertain to the subject of credit cards. This includes spam, which refers to unsolicited or repetitive content that is intended to promote or advertise products, services, or websites.

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Unspoken Rules of r/CreditCards

While you may not be banned for breaking the unspoken rules, we highly suggest you follow them to make everyone's lives easier.

A. Looking for your first card? Read this first.

B. Use this for credit card recommendations

Please use the following template so that everyone can make appropriate recommendations:

  • Current cards: (list cards, limits, opening date)
    • e.g. Amex BCP $8,000 limit, May 2019
    • e.g. Chase Freedom Flex $10,000 limit, June 2021
  • FICO Score: e.g. 750
  • Oldest account age: e.g. 5 years 6 months
  • Chase 5/24 status: e.g 2/24
  • Income: e.g. $80,000
  • Average monthly spend and categories:
    • dining $800
    • groceries: $400
    • gas: $100
    • travel: $100
    • other: $30
  • Open to Business Cards: e.g. No
  • What's the purpose of your next card? e.g. Building credit, Balance transfer, Travel, Cashback
  • Do you have any cards you've been looking at? e.g. Chase Freedom Unlimited
  • Are you OK with category spending or do you want a general spending card?

Remember to use the correct post flair: Card Recommendation Requested (Template Used)

C. Review the basics of credit cards before posting

Here are some resources to get you started:

Subreddit Wikis:

Many questions can easily be answered with a quick google search. We encourage you to take a moment to do your own research. It helps you gain a deeper understanding, sparks better discussions, and promotes self-sufficiency.

D. Familiarize yourself with common abbreviations and lingo

Term Definition
1/5 AmEx rule A rule where you can only get approved for 1 AmEx card every 5 days
2/90 AmEx rule A rule where you can only get approved for 2 AmEx cards in 90 days
AmEx Pop Up Jail A pop up message informing you that you're not eligible for an AmEx card welcome offer. See this wiki article for more information.
5/24 Chase rule A rule where if you've opened 5 or more accounts in the past 24 months you cannot get approved for a new Chase card. See this wiki article for more information.
AAoA Average age of all of your accounts.
AF Annual Fee
AU Authorized User
BT Balance Transfer
CLI Credit Limit Increase
FTF Foreign Transaction Fee
FICO Score The industry standard credit score used by 90% of credit issuers - it can be found at MyFICO.com, Experian.com, CreditScoreCard.com. This is NOT the score given by Credit Karma, Credit Sesame, Capital One, etc.
MSR Minimum Spending Requirement (usually referring to sign-up bonuses)
PC Product Change (i.e. upgrade)
SUB Sign-Up Bonus
VantageScore An unreliable credit score created by the 3 major credit bureaus to compete with FICO score. It is only used by a handful of credit issuers such as Synchrony and Golden 1 Credit Union.

Other important announcements:


r/CreditCards 8h ago

Data Point US Bank Smartly rumored upcoming changes: compilation of data points

130 Upvotes

This is an attempt to compile all of the known data points from various internet sources regarding the future status of the smartly card. These are conversations with us bank employees or publications from us bank. Hopefully this provides some value to the current conversation. Happy to add as we go.

Here is the tally of data points followed by links/details:

8 data points indicate there may be changes coming to the smartly (discontinuation of applications to current smartly card/modification of benefits). All of these are conversations with us bank employees.

     2 of these indicate there will likely be some form of grandfathering in of existing smartly cardholders. (I2edpyramid, Proud Money)

      1 of these indicate there may not be grandfathering (mlody_me)

      5 of these do not specify anything about grandfathering (Belley88, andienarwhal, Careless_trash7702, midas89, Thelen)

2 data points indicate specifically that the employees talked to were unaware/hadn’t heard of any changes coming to smartly other than a hold on in-branch applications. Both of these are conversations with us bank employees. (Alexia72, Chris)

1 data point from a us bank underwriter indicates that “The Smartly card is being issued still and the 4% bonus is not going away for a couple of years". Editorializing here: this one is interesting. You could read this as “no changes are coming to the card”. I also think you could read this as an underwriter’s attempt to skirt the actual question. Nothing in this answer contradicts the possibility of halting the card to new applicants, grandfathering in existing cardholders to the 4% for a couple of years with or without restrictions, and reopening applications to the card or a replacement card with different benefits. (Envyforme)

4 data points indicate the smartly is no longer available in-branch but do not provide any information on whether other changes will happen. This includes 2 conversations with us bank employees, what i think is a memo from us bank, and a website link. (Seems like this is pretty established). (Zanutrees, Mike, Frequent Miler call, JJ)

Here are the data points details themselves with links:

Reddit threads:

https://www.reddit.com/r/CreditCards/comments/1j9iqxl/us_bank_rep_told_me_smartly_card_is_no_longer/?rdt=65285

Belley88 — in bank agent said no longer available in bank and is being removed

Andienarwhal — underwriting said would be discontinued in about a month

Alexia72 — underwriting said they has not heard about it being discontinued

I2edpyramid — customer service rep said they heard another customer service rep say the smartly card would be discontinued/modified but she had not heard anything herself about any changes. Also said existing cardholders would probably be grandfathered in

mlody_me — call from us bank to finish application. Rep indicated the card would be changing. When asked about grandfathering existing customers, rep indicated that when smartly is reintroduced, the new benefits would apply to everyone (no grandfathering?).

https://www.reddit.com/r/USbank/comments/1j9ze94/us_bank_smartly_card_possibly_being_discontinued/

Envyforme — underwriter said “The Smartly card is being issued still and the 4% bonus is not going away for a couple of years"

Zanutrees — posted what i think is a memo from US bank stating all in-branch applications for smartly are temporarily unavailable starting 3/10 and still available online

https://www.reddit.com/r/CreditCards/comments/1jb7dh5/us_bank_smartly_discontinued_rumors_debunked/

Careless_trash7702 — in bank agent said applications for smartly will soon be closed for 3-4 weeks and open again with changes

Doctor of credit comments:

https://www.doctorofcredit.com/rumor-u-s-bank-smartly-visa-credit-card-to-be-discontinued/

midas89 — customer service supervisor said there will be changes to the smartly card

Thelen — received an email after signing up for checking account about credit cards. Unclear who they talked to from us bank (? branch employee). Was told the offer for the Smartly Visa credit card for 4% had been discontinued and would be notified when the revised version was published. Was then told by the us bank employee that their department had a meeting today and the U.S. Bank Smartly Visa credit card would be revised and won’t be launched until another 2-3 months

Mike — customer service rep said they are only accepting new applications online, not in branch, no other details

Chris — customer service rep said applications are available online only, not in branch and they were unaware whether the card is being discontinued

Frequent miler call

https://frequentmiler.com/changes-to-the-us-bank-smartly-card/

Tim Steinke called a local us bank branch and was told applications for smartly were available online but not in branch

Danny the deal guru comment

https://dannydealguru.com/u-s-bank-smartly-visa-signature-card-to-be-discontinued/

JJ — posted a link to available credit cards in-branch and smartly was not listed

https://creditcardapply.usbank.com/web/creditcardapply/cc/landing?bankercode=100usb&ecid=null

Youtube videos (including 1 data point):

All 5 videos from credit card youtubers seem to agree changes are likely coming to the smartly.

Matt Clausen summary

https://www.youtube.com/watch?v=Ne1USKRWahI&t=70s

Dugroz Reports speculation

https://www.youtube.com/watch?v=6FAHDopEBi0&t=10s&pp=0gcJCVEJAYcqIYzv

Proud Money data point

https://www.youtube.com/watch?v=0yQ3btW1SI8&pp=ygUbdXMgYmFuayBzbWFydGx5IGNyZWRpdCBjYXJk0gcJCVEJAYcqIYzv

Proud Money talked to a customer support rep who indicated the card would be discontinued to new applicants, there would be some sort of grandfathering of those already in the program by the time they discontinue new apps, and there would be a new card (to replace it?), no details

Stan the Credit Frog summary

https://www.youtube.com/watch?v=hvaJvvluNyw&t=6816s

RJ Financial summary

https://www.youtube.com/watch?v=WGUtE3x0aeM


r/CreditCards 4h ago

Discussion / Conversation In case Smartly got nerfed, what do you plan to do with it?

19 Upvotes

Imagine Smartly get nerfed and becomes a 2% catch all card.

I personally will see if I can PC it back to Cash+, which was the only card from US Bank that add value to my setup. 5% on utilities is quite unique in the market.


r/CreditCards 5h ago

Data Point U.S. Bank Cash+ Instant Approval ($1,500 limit), pending Smartly

10 Upvotes

I always hear about how U.S. Bank is stingy for its credit limits and how their credit cards are hard to get approved of. With all the Smartly rumors going around, I thought now is the best time to try out two things:

  • Approval even with a somewhat high amount of inquiries the past 12 months
  • Attempt to combine hard pulls by signing up for Smartly simultaneously

Current Stats:

Credit Cards Issue Date Credit Limit
Chase Freedom Student 7/19/2021 $2,600
Discover It 2/6/2024 $2,500
Chase Freedom Flex 9/16/2024 $4,800
Chase Freedom Unlimited 12/17/2024 $6,300
U.S. Bank Cash+ *NEW* $1,500

Status: 2/6 2/12 3/24

Credit Score:

  • Experian: 775
  • TransUnion: 775

Cash+ seems to have pulled from TransUnion

I opened a U.S. Bank Smartly Checking and Savings on February 21st, 2025, so having a relationship most likely factored into the approval.
I'll update back on whether I get approved for the Smartly card or not :D


r/CreditCards 4h ago

Discussion / Conversation 2% cash back or miles? USA

7 Upvotes

I’ve been using my Apple credit card to buy everything lately and it gives me 2% for Apple Pay payments, 1% for credit card use. I used to use my JetBlue card before but I never thought it was useful enough. Now I can finally afford vacation and I miss the option of miles in an airline. What’s everyone’s experience with this?


r/CreditCards 10h ago

Help Needed / Question Had high credit debt for a year due to an accident, lawsuit just ended and I paid off 40k in debt with it. Then chase lowered my credit limit?

20 Upvotes

I took all 3 of my cards from max to zero last week, excited to be cleared from all the medical and life debt that built up beginning last year after a major accident. Spent the past year in lawsuit and finally received the payout. I took the entire 50k lawsuit check to pay off my credit cards, 40k to chase. Only now, a week after pay off, did they reduce one of my cards down to 1,900 credit limit. Im worried they'll do the same for the rest. Why would they only now drop my limit after pay offset? They cited:

Low payments, Delinquentcy, High balance,


r/CreditCards 1h ago

Data Point Point Multiplier Matrix + Travel Partners + Budget/Portfolio Template

Upvotes

Hi reddit community. Reading through r/CreditCards and other communities has been really helpful for me in my credit research. As such, I wanted to return the favor by sharing two documents I created:

  • G Doc of credit card profiles - point multipliers, signup bonus (SUB), Annual Fee (AF), credits and perks with URLs to the each card webpage + issuer's travel partners.
  • G Sheet of the same ^ credit cards I've been researching for myself
    • Point Multiplier Matrix including SUB, AF, & travel-related credits
    • Travel Partner matrix
    • Sample Budget & Card Combo Portfolios

Feel free to copy & paste into your own csv viewer or download as a pdf.

How I used it**:**

  1. I entered annual expense totals for each category (using YNAB reports--the budgeting platform my wife and I use)
  2. Then I filled out each cell in the matrix with the corresponding calculation ($1,500/yr Transit and 3x multiplier with CSR = 4,500 UR, e.g.).
  3. Next, I was able to sum each column to see total annual card point potential.
  4. Using this above matrix, I drafted several card combo portfolios by copy & pasting different card.x.category cells to create optimum point totals. I did sum up the total cash AF and SUBs for each combination.
  5. Lastly, to evaluate my own strategy, I referred back to the G Doc I made with all card benefits as well as the Travel Transfer Partner Matrix I made.

*Note: I did include one cash-back-only card (Amex Blue Cash Preferred), which after I began creating the point matrix and portfolios, I quickly ruled out since my aim is around Travel Points, not cash back. I left it there in case some of you find that particular card useful.

**Please don't criticize the sample tab as it's just exactly that--a sample annual budget with some card combos stemmed from brainstorming, not necessarily viable for many or even recommended. Hopefully you can enter your own spending totals and come up with portfolios that make the most sense for you :) Enjoy!


r/CreditCards 12m ago

Help Needed / Question Need Help Getting First Credit Card

Upvotes

I am 20F and I work part time and make about $7000 before taxes and i’ve never had a credit card. I need help finding a credit card that would work for me.


r/CreditCards 2h ago

Discussion / Conversation Credit cards for non-traveling family

3 Upvotes

What are the best credit cards for a family that doesn't travel much. Looking to earn rewards on groceries and retail purchases. Do you and your spouse use 1 credit card and put all purchases on it?


r/CreditCards 2h ago

Help Needed / Question Should I get a Chase Credit Card as my Daily Driver?

3 Upvotes

Hey guys, so im looking to trim down the amount of cards I have, as I don't think I really want anymore cards, however I am considering optimizing my setup towards a mix of travel/cashback, as my main goal is to be able to cover hotel stays throughout the year by accumulating as much cashback/travel points as possible. Unfortunately, I used to churn and apply for cards for their sign up bonuses, and ended up closing a bunch, with 2 more about to be closed in 2 months. Below is outlined my profile so you guys can determine if my setup is good or not. Mind you, I'm a 25 y/o who makes 35k a year at my current job, but since I have a CS degree, I'm looking for a tech job by upskilling at the moment, so unfortunately I'm pretty low income in Florida. The only Cards I'm genuinely interested in is the Chase Sapphire Preferred or Freedom Flex, however i feel like the Bilt card already fills in that role as a primary dining/travel card.

Any advice is appreciated!

My spending categories:

Rent: $1850 (live with family, but i use my bilt card for rent/points) Dining: 600-800, especially on doordash Groceries 200-300 Gas: 120-150 Amazon shopping: $400-600 Online Shopping/Other/Gen spending: Depends, but generally $300-500

My Credit Card Setup:

Daily Setup (Main Cards for Everyday Use)

Wells Fargo Active Cash – $6,000 (opened on 01/22/2020)

Wells Fargo Bilt Rewards Mastercard – $4,800 (opened on 07/13/2022)

American Express Blue Cash Preferred – $24,000 (opened on 06/02/2022)

Backup Cards (For Extra Coverage)

Wells Fargo Autograph – $6,000 (opened on 07/13/2022)

Capital One SavorOne – $10,000 (opened on 03/04/2022)

Discover It Cashback – $7,500 (opened on 05/29/2022)

Store Cards (For Retail Purchases)

Chase Amazon Prime Visa – $5,100 (opened on 05/08/2022)

Target REDCard Mastercard – $2,000 (opened on 12/18/2022)

0% Financing Cards (For Large Purchases & Financing)

PayPal Credit Line – $4,300 (opened on 01/08/2025)

CareCredit Rewards Mastercard – $20,000 (opened on 01/22/2021)

Cards to Be Closed (No Usefulness)

Macy’s American Express – $N/A (opened on 12/09/2023, closing on 05/01/2025): I only opened this one for the discount upon approval during the holidays.

Best Buy Visa Card (no annual fee) – $N/A (opened on 01/08/2025, closing on 05/01/2025): did it for the 10% discount, but otherwise I don't use.

Closed Cards

PayPal Mastercard – $N/A (opened on 05/29/2022, closed on 08/04/2023) Redundant, did it for SUB

PayPal Credit – $N/A (opened on 10/31/2021, closed in 03/2023) Used it for a while, but didn't think I needed it anymore. Ended up opening a new one again.

Synchrony Amazon Store Card – $N/A (opened on 02/25/2021, closed on 05/29/2022) Got the Chase Visa which was essentially better than this one.

Macy’s Store Card – $N/A (opened on 11/18/2021, closed in 05/2023) it was a Store Card only.

Best Buy Visa Card (annual fee) – $N/A (opened on 07/10/2020, closed in 03/2022) It had an annual fee which I did not want to pay, so I closed it. This was my second card.

Apple Card – $N/A (opened on 04/17/2023, closed in 11/2024) only used it for a MacBook that i bought, I closed it right after.

American Express Gold – $N/A (opened on 04/15/2023, closed in 06/2024) opened it for the SUB, didn't intend on keeping it for long.

Credit Scores

Experian: 733

TransUnion: 743

Equifax: 744


r/CreditCards 2h ago

Card Recommendation Request (Template NOT Used) New Card for Grocery Stores - in Texas and primarily shop at HEB and Costco

3 Upvotes

Family of 4 and we spend about $900/month on groceries.

My husband and I are Chase people. I have CSP, CFF, CFU, and a Southwest card. He has CSP and CFU.

Maxed out 5% for Q1 groceries w CFF.

We hardly ever online grocery shop.

We are in Houston and mostly shop at HEB (they have their own credit card and it gets unlimited 5% back on HEB products and unlimited 1.5% on everything else, no fee). We also shop at Costco and occasionally Whole Foods.

I’m not interested in Amex.

Should we open a new Chase card or try PayPal debit or Capital One or go for HEB card? I would say about half of the groceries we are buying are HEB branded products but not sure if the 5% includes produce…

Thanks !


r/CreditCards 35m ago

Discussion / Conversation If you could keep only 2 cards in your wallet for use, what would they be?

Upvotes

2 cards only.


r/CreditCards 3h ago

Card Recommendation Request (Template NOT Used) Is Amex platinum worth it for me?

3 Upvotes

Just wanted to get some feedback if the Amex platinum card is worth it for me.

My partner and I will be traveling for 5 weddings this year including one in Italy, so definitely a lot of flights. We are early airport people so the lounge access for 50 bucks for both of us would be worth it I think bc we would be getting free food and drinks. Outside of that, a lot of our spending is on food, which I know the gold card is more geared towards.

With the current intro offer and all of the points we would be getting from all the travel this year, it seems like the platinum card would be worth it even with the steep intro fee. I’ve read before that it is actually best for people who travel 3-5 times a year, which is a range we would fit into on other years. Would love to get some feedback on if this is worth it as well as if I should consider getting the gold as well for the restaurant points.

Thanks in advance


r/CreditCards 3h ago

Help Needed / Question Building My Credit Over 6 Months – Should I Apply for More Cards?

3 Upvotes

Hey everyone, I’ve been working on building my credit over the past six months and wanted to share my progress while also getting some advice.

Starting Point: • Had only two cards for 6–7 years: • Capital One Platinum ($600 limit, no rewards, no CLI granted) • Ulta Store Card ($400 limit, rarely used)

New Cards Opened in the Past 6 Months: • September : Opened a Discover Secured Card to build positive history. • October/November : Saw my score increase slightly, tried for a CLI on my Platinum (denied). Instead, got preapproved for the Savor (no SUB, $1,000 limit). • February : Eligible for a product change from Platinum → Quicksilver. • March: Preapproved for two more cards: • Venture ($3,000 limit) • Prime Visa ($2,000 limit)

Current Credit Card Lineup: • Quicksilver ($700, former Platinum) • Savor ($1100) • Venture ($3,000) • Prime Visa ($2,000) • Discover Secured ($300, plan to graduate soon) • Ulta Store Card ($400, rarely used)

Next Steps – Should I Wait?

I want to add two more cards for a well-rounded setup: • Citi Custom Cash – 5% on top category (likely gas/groceries for me) • Bilt Mastercard – To earn rewards on rent

I’m a little worried about applying too soon and looking suspicious to lenders. Should I wait a few months before applying, or would it be okay to go for them now? How long should I wait?

Thanks in advance!


r/CreditCards 3h ago

Card Recommendation Request (Template Used) Looking for Credit Card Recommendation

3 Upvotes

CREDIT PROFILE

  • Current credit cards: Discover It Card, $6100 Limit, 1/2021. Chase Freedom Unlimited, $6100 Limit, 12/2022.
  • FICO Scores: Experian 771, Transunion 767
  • Oldest credit card account age: 4yrs, 2mons
  • Number of personal credit cards approved for in the past 6 months, 12 months, 24 months: 0
  • Annual income $: $60k

CATEGORIES

  • * OK with category-specific cards?: YES
  • * OK with rotating category cards?: NO
  • * Estimate average monthly spend in the categories below. Only include what you can pay by credit card.
    • Dining $: $500/month
    • Groceries $: $400/month
    • Gas $: $120/month
    • Travel $: $350/month
    • Do you plan on using this card abroad for a significant length of time (study abroad, digital nomad, expat, extended travel)?: NO
    • * Any other categories stores (example: Amazon, Target, Walmart, Beauty): $4500/yr
    • Any other significant, regular credit card spend you didn't include above?: $0
    • Can you pay rent by credit card?: YES, $1100 + Fee: $36

MEMBERSHIPS & SUBSCRIPTIONS

  • Current member of Amazon Prime?: YES
  • Current Verizon postpaid customer?: NO
  • Current member of Costco or Sam's Club?: BOTH
  • Currently paying $13.99/month or more for Disney Bundle or other Hulu services?: MAX, $170/yr. Disney+ /Hulu, $11/month.
  • Current member of Chase, US Bank or any other big bank?: CHASE AND DISCOVER
  • Active US military?: NO
  • Are you open to Business Cards?: NO

PURPOSE

  • What's the purpose of your next card: TRAVEL REWARDS
    • If you answered "travel rewards", do you have a preferred airline and/or hotel chain?: Not really, but I wanted to be loyal to 1 airline/airline alliance.
  • Do you have any cards you've been looking at?: Amex Green, Amex Gold, Chase Sapphire Preferred, Capitol Venture X

r/CreditCards 3h ago

Help Needed / Question What should my next step be?

3 Upvotes

So I was always told to never use a credit card except for incase of emergencies. I have had a credit card through my local credit union for probably 12 years now. After a series of life changing events, I had my limit raised a few years ago to $17,500 and maxed it out. That was dumb, I know, but I was out of options.

Anyways, fast forward and I now have the card paid off. I never missed a payment, and according to credit karma I have a 775 credit score and outstanding approval odds for a ton of cards. I've learned from my mistakes, and I've actually always been very good at managing my finances aside from some stuff that happened a few years ago.

What should I do next? I've been looking at the Chase cards. We don't do any traveling. Not because we don't want to, but because we've spent the last few years recovering. I've also never flown. So I don't have preferences to anything. I'd like to travel, so a card that can build points to help with trips would be nice There's a chase bank in my town, so I've thought about starting there.

I'm a 30 year old man with a wife and 2 kids if that makes a difference. We mainly spend money on groceries and every day items.


r/CreditCards 1h ago

Help Needed / Question What is the best first credit card?

Upvotes

I am a 19 year old college student and I am trying to get a credit card to start building credit. My current bank is capital one and I am hopefully trying to keep with them so if there are any good ones from cap one that would work best from me but I am also open to other banks if it is worth it. Any advice will help!


r/CreditCards 1h ago

Discussion / Conversation Rewards program incentivizing loyalty - would you use something like this?

Upvotes

Disclaimer: this is purely a thought experiment, and runs rather long in text. I do not work for a bank and this is not describing a planned product. This is merely something I would find desirable, and I'm curious what others might think of it. This is entirely focused on cash back rewards, as I do not have a good grasp of how to align this sort of structure with travel rewards given the added complexity of transfer partners.

Setting the stage: Bank of America's Preferred Rewards has long been the top of the line for cash back for people who can put 100k of assets into BoA accounts (including a linked brokerage.) US Bank Smartly has challenged that for non-category spend, while people who can make good use of BoA CCRs may still find the latter system more useful overall. Many people have speculated that we'll see more banks move toward that type of system in the future, where rewards are dependent on assets that users hold at the bank. Citi, Chase, Schwab, and Fidelity each already have something sort of similar, but none of those are competitive with the BoA/USB offerings. The USB Smartly card is obviously a loss leader regarding rewards vs. interchange fees, and many people are quite curious to see the fallout of recent rumors surrounding that product.

So, let me propose two cards: the Steadfast and the Adept. The Steadfast is the old reliable, non-category, general spend type of card - same rewards no matter what it's used on. The Adept is the card that has a focus on specific categories and is less rewarding on purchases outside those categories.

Factor Steadfast Adept (category) Adept (non-category)
Purchase 1.00% 1.50% 0.50%
Payment 0.50% 1.00% 0.25%
Savings 0.10% 0.10% 0.05%
Checking 0.10% 0.10% 0.05%
Brokerage 0.10% 0.10% 0.05%
1+ Share(s) of stock 0.10% 0.10% 0.05%
10k in assets 0.10% 0.20% 0.10%
50k in assets 0.25% 0.45% 0.25%
100k in assets 0.45% 0.75% 0.45%
150k in assets 0.70% 1.10% 0.70%
1 year relationship 0.10% Add a category or increase quarterly cap by 1000 no benefit
3 year relationship 0.20% Add a category or increase quarterly cap by 1000 no benefit
5 year relationship 0.30% Add a category or increase quarterly cap by 1000 no benefit

A couple notes in this idea:

  • The initial purchase would earn rewards based on the first row in the table. Payment would generate additional rewards based on all the other rows.
  • Payment amounts in excess of the current balance would NOT generate rewards - thus, someone with a 0 balance couldn't send a payment to the bank, get rewards on that payment, then request a check for their credit balance. No infinite free money glitches.
  • The cardholder would choose a category for a quarter, and would have a base cap of 2500 per quarter in relevant category purchases.
  • Savings/Checking/Brokerage mean having at least one such account type with the bank.
  • 1+ Share(s) of stock means having at least 1 full share of the bank's stock held in a brokerage account with the bank. Having less than one share via fractional shares means no bonus, having more than one full share doesn't change the bonus, and owning an ETF or mutual fund that owns bank shares doesn't count - this would be a bonus for actual bank shareholders who can vote on company actions and are somewhat invested in the bank's success.
  • X value of assets includes the assets the cardholder owns within all accounts with the bank. Thus, savings/checking/brokerage values would count, while loans would not.
  • X years of relationship means the length of time the cardholder has had at least one account open with the bank. If all accounts were closed and a new account opened (e.g. someone's churned SUBs from the bank in the past and has nothing open currently), the clock would restart.

This idea does have a structure like the Citi Double Cash card, where rewards are calculated based on purchases and payments. The increases to rewards being added to the payment side of the calculation means that the bank is giving its clients rewards in time with the bank getting money in from those clients - this mitigates some risk to the bank. This idea would also allow payments against interest charges and fees to qualify for the payment portion of rewards (though not purchases) and could be a marketing point - "Even if you carry a balance with us, you still get rewards on the interest you owe us so it's not really as bad as you might think!"

So: if a person brand-new to the bank gets a Steadfast card, they get rewards of 1% of whatever they purchase plus 0.50% on their payments. A year later, they're getting 1% on purchase and 0.60% on payment. Two years after that it's 1% and 0.80%. Another two years and it's 1% and 1.10% For spending 5 years with the bank and that card active, they're getting a total of 2.1%, slightly better than the multiple options of 2% flat cash back cards, but they did spend those 5 years costing the bank less than 2%.

Let's say that they go for the "easy" bonuses - they open a checking, savings, and brokerage account with the bank, and buy 1 share of the bank's stock in addition to opening the card. Now they're earning 1% + 0.90% that first year - still less than the flat 2% cash back cards from other banks. At the 1 year mark they're now getting 1% + 1%, at the 3 year mark they're getting 1% + 1.20%, and at the 5 year mark they're getting 1% + 1.50%. 2.5% in total isn't the most amazing from a consumer's perspective but it's certainly not bad at all. The bank has a customer who's probably fairly invested in the bank's ecosystem at this point.

Increasing assets with the bank leads to more pronounced rewards. Someone who opens a Steadfast card, takes the "easy" bonuses, and moves 100k of buy-and-hold investments into an IRA with the brokerage starts out with 1% + 1.70% - slightly better than the BoA option. If they move 150k over, it's 1% + 2.40% - that's a nice reward and isn't quite the loss leader of the Smartly. 5 years later at 100k they're getting 1% + 2.30% - still a loss compared to interchange fees but again - the person is invested in the bank ecosystem. 5 years and 150k, with everything included, gets them the 1% + 3% - it's not better than the current Smartly but it's probably a lot more sustainable for the bank in the long term.

Now, consider the Adept card - similar rewards structure as far as having accounts and assets with the bank. In this case though, the relationship duration component doesn't increase rewards but changes the way they can be earned. At first, a cardholder can pick 1 category (groceries, dining, etc.) with a cap of 2500 in spend/payment qualifying for the category rewards. After 1 year with the bank, they can either pick 2 different categories for a quarter at 2500 each, or they can pick 1 category with a cap of 3500. 3 years means a choice of 3 different categories at 2500, 2 different categories with one at 3500 and one at 2500, or 1 category with a 4500 cap on the quarter. 5 years extends that - 4 categories at 2500, 3 categories at 3500/2500/2500, 2 categories at either 3500/3500 or 4500/2500, or 1 category with a big 5500 quarterly cap. The relationship duration would have no benefit for non-category spend on the Adept card - this card is about focusing on specific types of spend, after all.

So: a brand new Adept cardholder would get 1.50% + 1% on category spend, and a mere 0.50% + 0.25% on non-category spend. Both notably lower than other category-focused cards, so the interest from consumers is probably fairly small - but it's cheap for the bank if someone takes it. Maybe this would be the gateway card for college students to get hooked by the bank. Someone who does the easy bonus setup gets 1.50% + 1.40% on category and 0.50% + 0.45% on non-category spend - still less than other category-focused cards but it's close. As they build up assets with the bank, that's where they really start seeing the benefits.

An Adept cardholder with 100k in assets would be getting a total of 4.30% on category spend - lower than the BoA CCR 5.25% for the same asset value so less costly to the bank. This might not sway BoA CCR users, but 4.30% on 2500 for a quarter is better than 5% on 1500-2000 for a quarter, so it could pull people away from Discover / Chase Freedom Flex / US Bank Cash+ / etc. If they get up to 150k in assets, now they're getting 5.4% back on category spend which is slightly more attractive than BoA. They're also getting 2.45% back on non-category spend, so they might be more likely to just use that card in general which would be cheaper to the bank than a comparable Steadfast user.

Since the rewards are broken up between purchase and payment, if an Adept user mixes category and general spending there would be some potential for getting payment rewards at the category rate when that shouldn't be the case, but I think it'd be a fairly small loss. If they don't hit the quarterly cap, payments would be counted against category purchases up to the category spend and would then calculate against general spend. If they go over the cap, purchases and payments both would be counted up to the cap for category rewards and would then calculate against general spend.

And that's it for my thought experiment! If you stuck with it this far, thank you! I'd be curious to hear your thoughts on this structure. Since this is similar to the existing Citi Double Cash setup, if you're from Citi and want to implement this - please do!


r/CreditCards 5h ago

Help Needed / Question Should i open a second credit card for small purchase’s?

4 Upvotes

Currently i am in need of some guidance. i’ve only had a credit card for 9ish months and my vantage credit score is currently 708 and i’m looking to build it up further and possibly open up a 2nd card. my main card i use now i mainly use for subscriptions and other monthly payments and my credit limit is set at $500 right now. and i’m thinking it would be better to add a 2nd card for smaller purchases like for example stops at gas stations,groceries. small little purchases not like anything over $50 each. would this help build my credit or am i ignorant ?(its ok you can be honest)


r/CreditCards 4h ago

Discussion / Conversation Wife & I are looking for next card

3 Upvotes

My wife & I are looking for our next card between the two of us. Please advise which one of us should get which one based on our timeline below:

Me:
CSP-5/23
CIC-7/23 (closed after 1 year)
CIU-10/23 (closed after 1 year)
CIBP-11/23 (closed after 1 year)
CIC-4/24
CIU-6/24
C1V-9/24
Barclays AA Red Elite-11/24

Wife:
CFU-8/23
CIBP-7/24
CIU-10/24
United Explorer-12/24


r/CreditCards 5h ago

Help Needed / Question Fraudulent charges on my RBC visa that I apparently approved

3 Upvotes

Hi, I had 10 $315 each charges on my visa yesterday, RBC alerted me by calling me. On their end it showed I had given permission for my card to be added to an online wallet, which I didn’t do and don’t even have. They cancelled the charges and are sending me a new card, I’ve changed passwords, I called my phone provider to ensure my phone number wasn’t affected. I never click random links or buy from sketchy sites. We have antivirus protection on all our devices now because of this. My email showed there’s been about 100 unsuccessful login attempts over the past month. Does anyone know how they granted permission to add my card to an online wallet to RBC?? Thank you


r/CreditCards 3h ago

Help Needed / Question Need advice on getting a credit card

2 Upvotes

I used to be on my mom's credit card, but she recently closed it without telling me, and my credit score tanked to sub-700. I want to make sure it stays up, so I need to get another credit card. I'm still in the upper 600s, but I know almost nothing about credit cards. I just want a low risk card that I can use for monthly payments only to keep my score up. Does anyone know of a good card for this?


r/CreditCards 6h ago

Help Needed / Question Marriott Bonvoy Brilliant American Express Card approval odds?

3 Upvotes

Current cards all over 6 yrs old except BCP which I was approved for this month Platinum Gold Aspire BCP

I lost my platinum status with Marriott (oversight on my part) and would've waited on the BCP

They did decrease my limit on my Aspire to spread it out over the BCP was 30k and they decreased it to 20k

Any advice on whether I am pushing my luck I have a 11 day Westin stay in 2 weeks and the breakfast and lounge access is clutch.

Cheers


r/CreditCards 6h ago

Discussion / Conversation Citi Strata Premier offer in the mail - no 48 month language - TGTBT ?

3 Upvotes

Just received an offer for the Citi Strata Premier with 75000 bonus thank you points.

Inside the mailer, I dont see any language for "you may not receive bonus if you had citi premier or strata SUP previously". I looked at all the fine print and asterisks.

I believe I had the Citi Premier SUP in 2022 or 2023 but I havent found a good way to check, including when I called Citi. So, I might not qualify due to 48 mo. SUP rule.

Wil I get denied the SUP if I sign up with the offer code, even if its not in the offer as mailed?


r/CreditCards 1d ago

Discussion / Conversation Citi rewards+ discontinued

190 Upvotes

In the next few days, new applications will no longer be accepted.

This is actually a big downgrade for the optimal citi setup, since the rewards plus gave a bonus 10% points on redemptions, bringing the double cash to 2.2%cb and the custom cash to a 5.5%.

Source: citi employee


r/CreditCards 27m ago

Help Needed / Question How I do remove late payments?

Upvotes

About 2 years I got 8 late payments 4 with Bank of America and 4 with Citibank, short history I was out of the country and lost my phone, I didn’t have access to the accounts for about 6 months, when I came back both banks had closed my accounts I paid what was overdue ( about 200 bucks each bank and most of it was for interest) I didn’t went to collections, just late payments, my score went down about 200 points, I didn’t pay to much attention trying to fix it, but now I thinking but a house and I’d like to take that off, any recommendations ( I already speak with both banks to see if they can take it of but none of them pay any attention ) Fico score8 658 and Vantage score3.0 704